Real estate purchases most times involve borrowing a large sum of money (mortgage) usually above $100,000 and therefore calls for making informed decisions. These decisions you don’t have to make on your own. If you are considering a mortgage we advise you to consider these three points below to assist you in making the best decision.
Take note of your finances:
Figure out what you can spend. Taking a simple inventory of your wallet can help you understand your financial ability and speed up the process. Know your financial limits to prevent potential pitfalls. For example, if you bring home $3,500.00 per month and have outstanding loans and bills with payments totaling $1,800.00 and the bank requires a monthly payment of $1,400.00 for the mortgage then it’s likely you may eventually default on one of your loans or bills with just $300.00 cash left in hand.
Find a real estate agent:
The search for a home could be very tedious because of limited time and market information. Use a professional in the real estate field as they will have the time to search for a suitable property and will be aware of available properties for sale in their territory. They will come with added benefits such as access to properties, understanding of prices, taxes and the buying process etc.
Have a home inspection:
Have an inspection even if the property appears to be in good condition or is relatively new. In the event that the selling price does not reflect the property flaws, a home inspection may give you a chance to negotiate your offer or withdraw your offer preventing you from making a costly mistake of purchasing a home that needs major repairs you didn’t budget for.
Don’t do it alone, purchasing real estate is a major financial investment. Assembling a team of knowledgeable professionals such as a financial advisors, lawyers, property inspectors and realtors can provide much needed advice.